North Carolina Court Denies 2 Companies' Injunction in Non-Compete Case

Q: A top exec left North America's largest traffic firm. Where did they go and why?

It is not possible to say from the available reporting where the executive went or why in any verified detail. The news story identifies the person only as AWP Inc.’s former vice president of operations. AWP, which describes itself as North America’s largest or leading traffic-control company, alleged that after leaving he joined a new employer in the same industry and then recruited AWP employees and solicited AWP customers in violation of non-compete and non-solicitation clauses. But the court record summarized in the available coverage does not name the new employer, and the judge denied AWP’s request for a preliminary injunction because the company did not clearly show a likely contract breach. The court pointed to factual disputes and insufficient evidence. So the most supportable answer is that the executive appears to have gone to a competing traffic-safety or traffic-control business, but the reporting provided does not identify that company or establish a confirmed reason for the move beyond AWP’s allegation that he began working for a rival.

1 articles · Updated · Bloomberg Law · Jul 2

A North Carolina federal court refused to grant AWP Inc. and Stay Alert Safety Services a preliminary injunction against a former vice president of operations.
The companies alleged he breached non-compete and non-solicitation clauses by recruiting employees and soliciting customers for his new employer.
The judge found they had not clearly shown a likely contract violation, citing significant factual disputes and insufficient evidence.
The ruling leaves the former executive free of immediate court restrictions while the breach-of-contract claims continue.